Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news concerning Canada's national defence, cybersecurity, border security, weapons systems, military commitments, aerospace defence, space sector, and the Canadian Armed Forces (CAF), Royal Canadian Navy (RCN) and Royal Canadian Air Force (RCAF). Every Monday, we break down the most important updates in this space in under five minutes.

Want to track GR news in industries related to Defence? Don’t miss this week’s updates in ICT & Cybersecurity.

Dates: 2025-12-22 to 2026-01-18

📋 In This Week's Newsletter

• 🇨🇦 Federal Government News
• 🗺️ Provincial Government News
• 💬 Government Consultations
• 📚 What We're Reading This Week

Federal Government News

Federal Government Invests $244 Million in Defence Innovation Through NRC IRAP 'Defence Industry Assist'

On January 9, 2026, Mélanie Joly, Minister of Industry and responsible for Canada Economic Development for Quebec Regions, announced a $244.2 million investment in the National Research Council of Canada’s Industrial Research Assistance Program, launching the Defence Industry Assist (DI Assist) initiative. This program is set to support high-potential Canadian small and medium-sized enterprises in developing defence and dual-use technologies. DI Assist will focus on reducing market entry barriers, fostering procurement connections, and strengthening supply chain collaboration, positioning Canadian firms to support defence priorities and engage competitively in global markets. The initiative aligns with efforts to advance research and development, add high-quality jobs, and contribute to achieving Canada’s 2% NATO defence spending target.

Sources: www.canada.ca

Canadian Armed Forces to Deliver Military Cyber Security Operations Course in Philippines

On January 16, 2026, the Canadian Armed Forces Cyber Command (CAFCYBERCOM) announced its delivery of the Military Cyber Security Operations Course (MCSOC) to the Armed Forces of the Philippines from January 19 to 23, 2026. Sponsored by the Military Training and Cooperation Program (MTCP), this initiative follows the Canada–Philippines Status of Visiting Forces Agreement and focuses on practical defensive cyber operations. The five-day course will involve personnel from the Philippine Army Signal Regiment Cyber Battalion and is designed to provide skills for detecting and responding to cyber threats targeting military and government networks. The activity supports Canada’s Indo-Pacific partnership objectives and cyber readiness outlined in 'Our North, Strong and Free', aiming to enhance interoperability and regional stability.

Sources: www.canada.ca

Public Safety Canada Issues 2025 Border Security Year in Review

Public Safety Canada, in its year-end summary released December 31, 2025, reports a range of technological and operational measures deployed to protect the Canada–US border. Key milestones from the past year include modernization projects affecting trade and immigration, initiatives targeting auto theft, and enhanced efforts to curtail the importation of illegal drugs. The summary credits coordination among various federal departments and agencies for achieving these outcomes, describing 2025 as a period of expanded activity to ensure trade flow and the integrity of Canadian border operations.

Sources: www.canada.ca

Federal and Quebec Governments Launch Assault-Style Firearms Compensation Program for Individuals

On January 7, 2026, Minister Gary Anandasangaree (Public Safety) and Minister Ian Lafrenière (Québec Public Security) jointly announced a financial agreement to implement the Assault-Style Firearms Compensation Program (ASFCP) in Québec. Having previously opened claims for businesses, the program will now enable individual firearms owners across Canada to submit declarations and compensation claims for prohibited firearms. Québec will receive up to $12.4 million in federal funding to support the collection of eligible firearms prior to the October 30, 2026, end of the amnesty period, after which unreturned firearms will be non-compliant.

Sources: www.canada.ca

Procurement Ombud Hosts Forum to Advance Top Foundational Changes in Federal Procurement

On December 22, 2025, the Office of the Procurement Ombud (OPO) convened the first Solutions Forum to pursue implementation of systemic reforms identified in its Knowledge Deepening and Sharing study. The meeting involved senior procurement leaders from federal departments and focused on the recommendation to establish a federal Chief Procurement Officer (CPO). Panelists from Nova Scotia and Newfoundland and Labrador recounted their experiences managing CPO roles, discussing cost-saving strategies, professionalization, success measurement, and accountability improvements. The next forum will concentrate on vendor performance management.

Sources: www.canada.ca

Canadian Coast Guard to Announce Next Steps for Polar Icebreaker Maintenance Port

Mike Kelloway, MP for Sydney—Glace Bay and Parliamentary Secretary to the Minister of Transport and Internal Trade, will announce plans regarding the future maintenance port for Canadian Coast Guard Polar Icebreakers on January 13, 2026, at the Coast Guard Academy in Sydney, NS. The announcement will outline progress on maintenance infrastructure planning for these vessels, which play a significant role in Arctic maritime operations.

Sources: www.canada.ca

Upcoming Technical Briefing and Press Conference: Assault-Style Firearms Compensation Program

Public Safety Canada will hold a technical briefing and press conference on January 17, 2026, concerning the Assault-Style Firearms Compensation Program. Minister Gary Anandasangaree and Minister Ian Lafrenière, along with law enforcement officials, will address media in both virtual and in-person formats, providing procedural updates and access details for accredited journalists.

Sources: www.canada.ca

Transport Canada Releases Multimodal Safety and Security Oversight Delivery Indicators, Q1–Q2 FY 2025/26

On January 16, 2026, Transport Canada published updated Multimodal Safety and Security Programs Oversight Delivery Indicators for the first and second quarters of fiscal 2025/2026. The data set covers performance metrics related to safety and security oversight activities across aviation, marine, and land transport for the periods April–June and July–September 2025.

Sources: www.statcan.gc.ca

Statistics Canada Delays Machinery and Equipment Price Index Publication

Statistics Canada announced that release dates for the Machinery and Equipment Price Index (MEPI) will be delayed from January 2 and January 29, 2026, to January 15 and February 5, 2026, due to late arrival of import component data. Users should note impacts on planning and analysis dependent on MEPI data.

Sources: www.statcan.gc.ca

StatsCan Publishes Weekly Aircraft Movements Data (December 20, 2025–January 2, 2026)

Statistics Canada released weekly aircraft itinerant movements for December 20, 2025, to January 2, 2026, providing up-to-date operational data for entities active in aviation logistics and airport management.

Sources: www.statcan.gc.ca

Provincial Government News

Manitoba Government Allocates $644,000 to Winnipeg Police Service for Safety Initiatives

On December 23, 2025, Manitoba announced $644,000 in funding for the Winnipeg Police Service under the Criminal Property Forfeiture Fund, with plans to support officer training in ballistic protection, less-lethal equipment, and aerial surveillance unit pilot programs.

Sources: news.gov.mb.ca

Government Consultations

Consultation: Potential Amendments to Valuation for Duty Regulations

Canada Border Services Agency is consulting on defining 'sold for export to Canada' and closing regulatory loopholes affecting non-resident importers, with feedback accepted until October 25, 2026.

Sources: www.cbsa-asfc.gc.ca

What We're Reading This Week

• The $35B Secret: Why 'Decision Speed' is the New Gold Rush in Defense: Coverage of competitive strategy shifts in defence project approvals.
• Ontario economic development minister focusing on defence investments in 2026: Provincial stance on expanding defence manufacturing and R&D activities.
• Former defence minister Harjit Sajjan launches startup looking to scale Canada's sovereign defence technology: New private-sector venture on advanced defence technology initiated by Harjit Sajjan.
• French-U.K. Starlink rival pitches Canada on 'sovereign' satellite service for Arctic military operations: European competitors propose Arctic connectivity solution for Canadian defence.
• Power Play: Ambassadors on defence spending: Diplomatic takes on shifting defence budgets and priorities.
• ZenaTech's ZenaDrone Subsidiary Positioned for U.S. Defense and Government Demand for NDAA-Compliant Drones: Industry response to new regulations and North American drone procurement.
• Trudeau's former defence minister launches tech startup that could bolster Arctic sovereignty: Additional coverage of emerging platforms in Arctic security.
• Ontario economic development minister focusing on defence investments in 2026: Financial analysis of regional defence spending.
• Trump proposes massive increase in 2027 defence spending to US$1.5T, citing ‘dangerous times’: Planned US defence expenditure with potential cross-border effects.

.